Infant monitoring specialist Owlet was informed by the New York Stock Exchange that it has regained compliance with the NYSE’s continued listing standards.
Last year, Owlet was notified by the NYSE that it was not in compliance with Section 802.01B of the NYSE listed company manual because its average global market capitalization over a consecutive 30-day trading day period was below $50 million and its last reported stockholders’ equity was less than $50 million.
In a statement, Owlet said, "As a result of the company’s achievement of compliance with the NYSE’s minimum market capitalization requirement for the requisite period of time, the NYSE has advised that the company is no longer considered out of compliance with these continued listing standards, and the below compliance 'BC' indicator has been removed from the company’s Class A common stock."
Moreover, Owlet is no longer considered as being under continued listing standards on the NYSE’s website.
Commensurate with the NYSE’s listed company manual, Owlet will be subject to a 12-month follow-up period within which it will be re-examined in order to verify that the company does not once again fall below any of the NYSE’s continued listing standards.
THE LARGER TREND
Owlet became a public company through a special purpose acquisition company (SPAC) in 2021. Currently, its stock is trading at around $4.55 per share on the NYSE, down from a high of $150.78 in 2021.
In 2023, the company raised $30 million in private placement financing and earlier this year, it raised another $9 million.
In August, the Utah-based company reported its second quarter 2024 financial results, reporting total revenue of $20.7 million, up 58% year-over-year from approximately $13.1 million.
Operating expenses in Q2 2024 were $12.5 million, compared with $11.9 million in Q2 2023, and operating loss was $2.2 million, compared with $6.7 million in the second quarter of last year.
The company reported a net loss of $1.1 million for the second quarter, compared with a loss of $8.5 million for Q2 2023, and adjusted EBITDA was $0.1 million in Q2 2024, compared with a loss of $4.3 million for the same period last year.
The company expects its full-year 2024 net revenue to range from $72.5 million to $77.5 million with adjusted EBITDA loss of $6 million to $3 million.
Last month, Owlet expanded its reach within Europe by increasing access to its baby monitor Dream Sock in Greece, Poland, the Czech Republic, Romania, Slovakia, Hungary and Bulgaria.
Dream Sock, which received FDA clearance last November and CE Mark certification in May, wraps around a baby's foot and collects live health readings of infants 0-18 months are between 6-30 pounds.
In April, Owlet and telehealth staffing and services company Wheel partnered to allow Wheel's clinicians to prescribe caregivers Owlet's medical pulse oximetry wire-free sock for infants. The partnership allows an infant's caregiver to directly obtain a prescription for BabySat via Wheel's online portal or through its clinicians.